What does STP mean in STP marketing?

In marketing theory, market segmentation, target positioning and positioning are all elements of a company's marketing strategy, which is called STP of marketing strategy.

The fundamental essence of STP theory is to select and determine the target consumers or customers, or market positioning theory. STP theory holds that the market is a complex, multi-level and diversified consumer demand aggregate, and no enterprise can meet all the demands. According to different demand, purchasing power and other factors, enterprises should divide the market into consumer groups composed of similar demand, that is, several sub-markets.

This is market segmentation. According to its own strategy and product situation, an enterprise can choose a sub-market with a certain scale and development prospect, which is in line with the company's goals and capabilities as the company's target market.

Subsequently, enterprises need to position their products in the preferred position of target consumers, and convey this positioning information to target consumers through a series of marketing activities, so that they can notice the brand and feel that this is what they need.

Extended data:

On the basis of a certain market segmentation, enterprises determine their own target market, and finally position their products or services in a certain position in the target market. Specifically,

Market segmentation refers to the process of subdividing the market of a product or service one by one according to the difference of customer demand.

Target market refers to the market segments that enterprises choose and decide to enter, and it is also the most favorable market component for enterprises.

Market positioning is to determine the certain position of its products or services in the target market in the marketing process, that is, to determine the competitive position of its products or services in the target market, also known as "competitive positioning".